LAWS_AND_REGULATIONS by 4Fw8addN

VIEWS: 33 PAGES: 11

									       Intended for use as a helpful guide.                             BANKING TABLE OF LAWS AND
       Updated periodically and therefore may not be                CONSUMER PROTECTION LAW...AND MORE
       100% accurate or complete at any given point in time.

TYPE    REG                  REG NAME                 DESCRIPTION                                                                                                 USC                 CFR

 L        A     Loans to Banks                        Governs extensions of credit to banks by the Federal Reserve Bank (FRB). Includes discount             Federal Reserve   12 CFR 201 FRB
                                                      window, adjustment credit, extended credit, or emergency credit.                                       Act various
                                                                                                                                                             sections
 L        AA    Unfair or Deceptive Acts or           Defines unfair and deceptive credit practices and acts. Requires specific disclosures to               15 USC 57(a)f;    12 CFR 227 FRB;
                Practices (Credit Practices Rule)     cosigners; forbids confessions of judgment, wage assignments, and prohibits the taking of              15 USC 41 FTC            12 CFR 535
                                                      nonpurchase money security interest in household goods.                                                Act               OTS
 L        B     ECOA - Equal Credit Opportunity       Prohibits credit practices that discriminate on the basis of race, color, religion, national origin,   15 USC 1691       12 CFR 202 FRB;
                Act                                   sex, marital status, age, receipt of public assistance or the fact that the applicant has exercised
                                                      any right under the Consumer Credit Protection Act. Rules cover advertising, credit
                                                      applications, adverse action notices, appraisals, etc.
 L        C     HMDA - Home Mortgage                  To provide regulators and the public with loan data that can be used to determine whether              12 USC 2801       12 CFR 203 FRB
                Disclosure Act                        banks are serving the credit housing needs of their communities. Requires lenders to maintain
                                                      a Loan Application Register (LAR) as a mechanism to report the data.
 D        CC    Expedited Funds Availability Act      Governs the availability of funds customers deposit in transaction accounts. Contains rules            12 USC 4001;      12 CFR 229 FRB
                                                      regarding exceptions to availability schedules, disclosures, payment of interest, and liability.       12 USC 5001;
                                                      Interfaces with Regulations J and UCC Article 4                                                        18 USC 1004
                                                                                                                                                             OCC
 D       CC     Check 21 - Check Clearing for the Makes it easier for banks to electronically transfer check images instead of physically                    12 USC 5001       12 CFR 229 (Reg
                21st Century Act eff. 10/28/04    transferring paper checks. Check 21 does not require banks to accept checks electronically,                                  CC), Subpart D
                                                  but it facilitates electronic transmission between banks by providing a way for banks that clear
                                                  checks electronically to exchange information with those that do not.
 D        D     Reserve Requirements of           Sets the rules for reserve requirements that depository institutions are required to maintain at           12 USC 1832       12 CFR 204 FRB
                Depository Institutions           the Federal Reserve Bank (FRB). Also provides definitions of deposit account types.

 D        DD    TIS - Truth In Savings            Requires banks to provide disclosures to enable consumers to make meaningful comparisons                   12 USC 4301       12 CFR 230 FRB
                                                  of deposit accounts. Prescribes uniform methods for computing interest, disclosing terms, and
                                                  advertising deposit accounts.
 D        E     Electronic Funds Transfer Act     Established the responsibilities and liabilities of EFT customers and financial institutions. It           15 USC 1693       12 CFR 205 FRB
                                                  regulates the issuance of ATM cards, customer liability of unauthorized transactions, error
                                                  resolution, and stop-payment procedures.
GEN      EE     Netting Eligibility for Financial Defines financial institutions to be covered by statutory provisions regarding netting contracts.          FDICIA of 1991 12 CFR 231 FRB
                Institutions                      These are contracts (between financial institutions) in which parties agree to payor receive the           12 USC
                                                  net, rather than the gross, payment due.                                                                   4401(1)(B) & (o)
 L        G     Disclosure and Reporting of CRA- Implements section 711 of the GLB Act. Requires any nongovernmental entity or person,                       12 USC 1831y     12 CFR 35 OCC;
                Related Agreements eff 4/1/01     insured depository institution or affiliate that enters into a covered agreement to make the                                      12 CFR 533
                (aka CRA - Sunshine Regulation) agreement available to the public and certain federal agencies and file an annual report. The                                 OTS;           12
                (implements Section 711 of the    GLBA CRA Sunshine requirements and the implementing CRA Sunshine Regulation do not                                          CFR 346 FDIC;
                GLB Act of 1999)                  affect the Community Reinvestment Act of 1977, its implementing regulations, or the OCC’s                                          12 CFR 207
                                                  interpretation or administration of that act or regulations.                                                                FRB
GEN       H     Misc State Chartered              Provides standards for state-chartered FRB member banks on a variety of issues including:                  Federal Reserve 12 CFR 208 FRB
                                                  branching, capital adequacy, flood insurance, appraisals, and bank security.                               Act; FDI Act




                                                                                                                                                                                        1 of 11
       TYPE
       L = Lending, D = Deposits, Gen = General                  Compiled by: Gail Askins Cole, Compliance Risk Management Consulting, LLC                                            July 2006
                                                                                      gailacole@bankcrmconsulting.com
      Intended for use as a helpful guide.                             BANKING TABLE OF LAWS AND
      Updated periodically and therefore may not be                CONSUMER PROTECTION LAW...AND MORE
      100% accurate or complete at any given point in time.

GEN     H,    Consumer Protection in Sales of        Establishes consumer protections in connection with retail sales practices, solicitations,         12 USC 1464(q) 12 CFR 208 FRB;
      Subpart Insurance (eff 10/1/01)                advertising or offers of any insurance product or annuity to a consumer by any bank or other                                  12
         H    (implemented via Section 305 of        person engaged in such activities at an office of the bank or on behalf of the bank.                              CFR 536 OTS;
              the GLB Act)                                                                                                                                                   12 CFR 14
                                                                                                                                                                       OCC;           12
                                                                                                                                                                       CFR 343 FDIC;

D         J    Collection of Checks                  Governs the collection of checks (including cash and noncash items) and the handling of            Federal Reserve 12 CFR 210 FRB
                                                     returned checks by the FRB. Interfaces with Regulation CC and UCC Article 4.                       Act; 12 USC
                                                                                                                                                        4001, etc.

GEN       L    Depository Institutions               Prohibits an individual from acting as directors, officer, etc. of two nonaffiliated financial     12 USC 3201 et   12 CFR 212 FRB
               Management Interlock Act              institutions. Fosters competition by prohibiting situations where the management interlock         seq.
                                                     would have an anticompetitive effect. Some exceptions are approved to aid minority or
                                                     women's banks.
 L       M     Consumer Leasing Act                  Implements the consumer leasing provision of the Truth in Lending Act (Regulation Z) by            15 USC 1667        12 CFR 213 FRB;
                                                     requiring meaningful leasing terms. However, in 1980 when Regulation Z was simplified, the                                    12 CFR
                                                     leasing requirements were separated and placed into Regulation M.                                                     545.53 OTS
 L       O     Loans to Insiders & Insider           Governs the extensions of credit to insiders, which include: directors, executive officers,          12 USC 375a,     12 CFR 215 FRB;
               Transactions                          principal shareholders (10%+), and their related interest.                                           375b, 376, 1972,          12 CFR
                                                                                                                                                          1817(k)          337.3 FDIC;
                                                                                                                                                                               12 CFR 31
                                                                                                                                                                           OCC;
                                                                                                                                                                              12 CFR 349
                                                                                                                                                                           FDIC
GEN      P     Privacy - Reg P. (Gramm-Leach-        The GLB law represents the most sweeping reform of financial services regulation in over sixty 15 USC 6801-           12 CFR 216 FRB;
               Bliley Act of 1999 or GLB eff.        years. It addresses: the creation of new financial service holding companies, the affiliations       6809; Section                    12
               11/13/00; compliance optional         among banks and securities firms and insurance companies, CRA sunshine requirements, and 502, 503 & 504 CFR 40 OCC;
               until 7/1/01)                         numerous other regulatory issues. Protecting the privacy of consumer information held by             of the GLB Act                 12
                                                     "financial institutions" is at the heart of the financial privacy provisions of the GLB. The GLB Act                  CFR 332 FDIC;
                                                     requires companies to give consumers privacy notices that explain the institutions' information-                           12 CFR 573
                                                     sharing practices. In turn, consumers have the right to limit some - but not all - sharing of their                   OTS
                                                     information. The law also establishes standards for financial privacy protection to consumers
                                                     and customers.(Regulation P) It prohibits a bank from disclosing nonpublic personal
                                                     information to third parties that are not affiliated with the bank.

D        Q     Payment of Interest on Demand         Provides guidelines and restrictions relating to Interest on Deposits and advertising. Prohibits   12 USC          12 CFR 217 FRB;
               Deposits                              the payment of interest on "demand deposits."                                                      1463(4)(e); 12                 12
                                                                                                                                                        USC 1464(b)(1); CFR 329 FDIC;
                                                                                                                                                        12 USC 1730c;           12 CFR
                                                                                                                                                        12 USC 1832     545, 561 & 563 OTS

GEN      S     RFPA - Right to Financial Privacy     Establishes the rates and conditions for reimbursement for banks providing customers records       12 USC 3401 et   12 CFR 219 FRB;
               Act - Reimbursement - Reg S           to certain government agencies pursuant to the Right to Financial Privacy Act.                     seq.                        12 CFR
                                                                                                                                                                         310 FDIC;
 L       U     Loans Margin Stock                    Governs credit extensions for the purpose of buying or carrying margin stock. Limits the           15 USC 78a et    12 CFR 221 FRB
                                                     amount a bank can lend for the purchase of margin stock (presently 50% of current market           seq.
                                                     value of stock).                                                                                                               2 of 11
      TYPE
      L = Lending, D = Deposits, Gen = General                 Compiled by: Gail Askins Cole, Compliance Risk Management Consulting, LLC                                          July 2006
                                                                                    gailacole@bankcrmconsulting.com
      Intended for use as a helpful guide.                             BANKING TABLE OF LAWS AND
      Updated periodically and therefore may not be                CONSUMER PROTECTION LAW...AND MORE
      100% accurate or complete at any given point in time.

L&D      V     FACTA - Fair and Accurate Credit      The main purposes of the Act are: to amend the Fair Credit Reporting Act, to prevent identity     P. L. 108-159    12 CFR 222 FRB
               Transactions of 2003 eff 7/16/04      theft, to improve resolution of consumer disputes, to improve the accuracy of consumer
               and various dates.                    records, to make improvements in the use of, and consumer access to, credit information, and
                                                     for other purposes.
GEN      W     Transactions between member           Implements Sections 23A and 23B of the Federal Reserve Act combining statutory restriction        12 USC 371c      12 CFR 223 FRB
               banks and their affiliates            on transactions between banks and their affiliates. Original regulation repealed in 1952, dealt   OCC; FR Act
                                                     with Consumer Loan Terms.                                                                         23A and 23 B
                                                                                                                                                       FRB
 L       X     Credit to purchase securities         FRB regulation X which applies to borrowers who are subject to Regulations T and U for            15 USC 78a et    12 CFR 224 FRB
                                                     obtaining credit within or outside the U.S. for the purpose of purchasing securities.             seq.
 L       X     RESPA - Real Estate Settlement        HUD Regulation X which implements the RESPA. With some exceptions, it applies to all              12 USC 2601      24 CFR 3500 HUD
               Procedures Act                        federally related mortgage loans. Requires advance disclosures of loan-settlement costs to
                                                     home buyers; eliminates certain referral fees; regulates tax and insurance mortgage escrows.

GEN      Y     Bank Holding Company                  Regulates the acquisitions of banks and limits activities of Bank Holding Companies and their     Bank Holding    12 CFR 225 FRB
                                                     nonbank subsidiaries. Sets forth the procedures for securing approval for these transactions      Co Act of 1956,
                                                     and activities.                                                                                   FDI Act, FIRREA

 L        Z    ARMS - TIL                            These CFR sections represent a collection of ARM disclosure and product requirements              15 USC 1601 et   12 CFR 226.19
                                                     applicable to various banks depending on regulatory agency. These sections also pertain to        seq..            FRB; 12 CFR 34
                                                     requirements and restrictions applicable to "alternative mortgage loans" of which ARM's are                        subpart B OCC;
                                                     one type.
                                                                                                                                                                           12 CFR
                                                                                                                                                                        545.33(e) (FHLBB)
                                                                                                                                                                        and 563.99 & 560
                                                                                                                                                                        OTS (implemented
                                                                                                                                                                        via TIL)
 L        Z    Fair Credit Billing Act               Establishes rules for how a lender should treat billing disputes with a borrower and the rights of 15 USC 1666     12 CFR 226 FRB
               (implemented via TILA - Reg. Z)       borrowers using a credit card who have purchased damaged or poor quality merchandise. This
                                                     Act, amending the Truth in Lending Act, requires prompt written acknowledgment of consumer
                                                     billing complaints and investigation of billing errors by creditors. The amendment prohibits
                                                     creditors from taking actions that adversely affect the consumer's credit standing until an
                                                     investigation is completed, and affords other protection during disputes. The amendment also
                                                     requires that creditors promptly post payments to the consumer's account, and either refund
                                                     overpayments or credit them to the consumer's account.

 L        Z    Truth In Lending Act                  Designed to help consumers "comparison shop" for credit by requiring disclosures about terms      15 USC 1601      12 CFR 226 FRB
                                                     and costs. Prescribes uniform methods for computing the costs of credit, for disclosing credit
                                                     terms, and for resolving errors on certain types of credit accounts. This is the most
                                                     comprehensive, technical, and frequently violated of the consumer protection regulations.

 D             Advertising of FDIC Membership        How and when to advertise FDIC membership. Provides detailed requirements and specific          11 USC 1828(a) 12 CFR 563.27,
                                                     language to use. Refer to individual regulations for advertisings (to include Reg DD, Z, etc.)                 563.76, 563g OTS;
                                                     which include requirements for advertising products and services subject to each regulation. In                       12 CFR 328
                                                     general, advertisements must be clear and accurate and not misleading. Triggering terms and                    FDIC
                                                     additional disclosures may be required when certain terms are used.

                                                                                                                                                                                  3 of 11
      TYPE
      L = Lending, D = Deposits, Gen = General                 Compiled by: Gail Askins Cole, Compliance Risk Management Consulting, LLC                                        July 2006
                                                                                    gailacole@bankcrmconsulting.com
      Intended for use as a helpful guide.                             BANKING TABLE OF LAWS AND
      Updated periodically and therefore may not be                CONSUMER PROTECTION LAW...AND MORE
      100% accurate or complete at any given point in time.

D              BSA - Bank Secrecy Act                Bank must keep a record of all customer cash-equivalent transactions in excess of $3,000 and       31 USC 3334;       12 CFR 21.21
                                                     must report to the IRS all daily customer cash transactions which are in the aggregate in          31 US 5311-        subpart C OCC;
                                                     excess of $10,000. Bank may exempt certain transactions and special exemptions are available       5330; 12 USC
                                                     from the IRS based on customer business. Potential liability for failure to comply is loss of      1818(s),           31 CFR 103
                                                     charter.                                                                                           1829(b); 12        subparts A, B and C;
                                                                                                                                                        USC 1951-1959      US TREASURY;
                                                                                                                                                                                          12
                                                                                                                                                                           CFR 208.14 FRB;
                                                                                                                                                                              12 CFR 326.8
                                                                                                                                                                           subpart B FDIC;

                                                                                                                                                                         12 CFR 563.177
                                                                                                                                                                         OTS
D              Consumer Checking Account             NOW accounts may only be held by one or more individuals, government entities depositing           IRC 501(c)(3) to 12 CFR 204 FRB
               Equity Act (NOW Accounts) -           public funds, and not-for-profit organizations operated primarily for religious, philanthropic,    13 & 501(c)(19)
                                                     charitable, educational, political or similar purposes.                                            re: NOW
                                                                                                                                                        eligibility
D                                              This part applies to the deposit activities of savings associations. If you are a federal savings
               Deposit Activities of all Savings                                                                                                        12 USC 1462a, 12 CFR 557 OTS
               Associations                    association, subpart B of this part applies to your deposit activities. Subpart C of this part           1463, 1464
                                               applies to the deposit activities of all federal and state-chartered savings associations. In
                                               addition, FRB 12 CFR parts 204 and 230 apply to your deposit activities.
D              FDIC Deposit Insurance Coverage Spells out how FDIC insurance applies to accounts and describes the different rights and                 12 USC 1831 et     12 CFR 330 & 350
               Regulations                     capacities that qualify for separate insurance coverage                                                  seq.               FDIC
D              IRA Account Compliance and IRS Banks are required to send several types of reports to the Internal Revenue Service (IRS) on
               Requirements                    matters concerning their customers, including deposit and loan information.
D              IRS Information Reporting       The Internal Revenue Code requires payors of various types of payments and participants in               Internal
                                               real estate transactions file with the IRS information returns providing information about those         Revenue Code
                                               payments and transactions. The information must be filed on one of about a dozen or so                   various sections
                                               different form 1099s.
D              OFAC Office of Foreign Asset    The Office of Foreign Assets Control ("OFAC") of the US Department of the Treasury oversees
               Control Regulations             the enforcement of federally-mandated economic sanctions against certain foreign
                                               governments and "specially designated nationals" (individuals or companies which have been
                                               named as targets of sanctions either due to narcotic trafficking activity or some other illegal
                                               activity.) To comply with the regulations, financial institutions need to have a compliance
                                               program in place so that they are able to stay abreast of the frequent changes to the sanction
                                               lists and can identify accounts or transactions which would be subject to the sanctions. The
                                               actual prohibited transactions or requirements vary, depending upon the sanctions applicable to
                                               a particular entity residential wartime and national emergency powers, as well as authority
                                               granted by specific legislation, to impose controls on transactions and freeze foreign assets
                                               under US jurisdiction.
D              SC Uniform Unclaimed Property   Provides for any financial asset, to include deposit accounts, securities, etc. that has not been        See SC State       NA
               Act (aka Escheat or Abandoned   claimed by its owner or has not had owner generated activity for 5 years to be turned over to            Law 27-18-10
               Property Law). See also Uniform the State Treasurers office. Defines "abandoned property", such as dormant accounts, and                 et seq.
               Unclaimed Property Act enacted when such property must be remitted to the state where it is held.
               in some states.

GEN            Activities & Investments of           restrict and prohibit insured State banks and their subsidiaries from engaging in activities and   12 USC 1831a       12 CFR 362 FDIC
               Insured State Banks                   investments that are not permissible for national banks and their subsidiaries                                                  4 of 11
      TYPE
      L = Lending, D = Deposits, Gen = General                 Compiled by: Gail Askins Cole, Compliance Risk Management Consulting, LLC                                           July 2006
                                                                                    gailacole@bankcrmconsulting.com
      Intended for use as a helpful guide.                             BANKING TABLE OF LAWS AND
      Updated periodically and therefore may not be                CONSUMER PROTECTION LAW...AND MORE
      100% accurate or complete at any given point in time.

GEN            Advertising of Debt Securities        Savings associations' advertisements of debt securities are subject to Rule 134 and 135 issued Securities Act of 12 CFR 563.27
                                                     under the Securities Act of 1933. These Rules are applied to savings associations' offerings   1933              OTS; 12 CFR
                                                     through the securities offering regulations of the OTS.                                                          563.76 OTS; 12
                                                                                                                                                                      CFR 563g OTS
GEN            Americans with Disabilities Act       Prohibits a bank from denying employment, promotion, benefits, or anything related to          42 USC 1210       12 CFR 352 FDIC
                                                     employment due to disabilities. Requires services to be accessible to the disabled.
GEN            Annual Disclosure of Financial        Requires lobby posting of availability of annual financial disclosure statements                                 12 CFR 18 OCC;
               Information                                                                                                                                                      OCC BC
                                                                                                                                                                      229;
                                                                                                                                                                         12 CFR 208.17
                                                                                                                                                                      FRB;
                                                                                                                                                                      12 CFR 350 FDIC

GEN    UCC     Article 1: General Provisions
GEN    UCC     Article 2: Sales
GEN    UCC     Article 2a: Leases
GEN    UCC     Article 3: Negotiable Instruments

GEN    UCC     Article 4: Bank Deposits
GEN    UCC     Article 4a: Funds Transfers
GEN    UCC     Article 6: Bulk Transfers
GEN    UCC     Article 8: Investment Securities
GEN            Bank Bribery Act                      Prohibits any bank director, employee, officer, etc., from accepting anything of value for or in      18 USC 215       OCC BC-22 (Rev.
                                                     connection with any transaction or business of a financial institution. Exceptions for business                        1987); Guidelines
                                                     meals, gifts of modest value, etc. The guidelines encourage each institution to adopt a code of                        issued
                                                     conduct or policies which should alert institution officials to the Bank Bribery Act, as well as to
                                                     establish and enforce written policies on acceptable business practices. The code may specify
                                                     appropriate exceptions to the general prohibition of accepting something of value in connection
                                                     with bank business that management can defend as not amounting to having a corrupt
                                                     influence on bank transactions. The code of conduct or policies should stress that a serious
                                                     threat to the integrity of the bank occurs when its officials become involved in outside business
                                                     interests or employment that give rise to a conflict of interest, especially should such conflicts
                                                     evolve into corrupt transactions that are covered under the Bank Bribery Act.

GEN            Bank Protection Act - Minimum         Previously governed bank security standards. The security standards may now be found in               12 USC 1881-     12 CFR 21 subpart
               Security Devices and Procedures       Regulation H (12 CFR 208.61).                                                                         1884             A OCC; 12 CFR 216
                                                                                                                                                                            FRB; 12 CFR 326
                                                                                                                                                                            subpart A FDIC; 12
                                                                                                                                                                            CFR 568 OTS

GEN            Children's Online Privacy             The Act addresses the collection, use or disclosure of personal information about children that       15 USC 6501 et   16 CFR 312 FTC
               Protection Act (COPPA) eff.           is collected from children through websites or other online services. Financial institutions are      seq..; 12 USC
               4/21/00                               subject to COPPA if they operate a website(s) or online services) directed to children or have        1818
                                                     actual knowledge that they are collecting or maintaining personal information from a child
                                                     online. The Act grants each federal financial regulatory agency enforcement authority over the
                                                     institutions they supervise under 12 USC 1818.

                                                                                                                                                                                       5 of 11
      TYPE
      L = Lending, D = Deposits, Gen = General                  Compiled by: Gail Askins Cole, Compliance Risk Management Consulting, LLC                                           July 2006
                                                                                     gailacole@bankcrmconsulting.com
      Intended for use as a helpful guide.                           BANKING TABLE OF LAWS AND
      Updated periodically and therefore may not be              CONSUMER PROTECTION LAW...AND MORE
      100% accurate or complete at any given point in time.

GEN            Electronic Banking/ E-sign Issues Refer to each FRB regulation such as E, B, M, Z, DD, etc. Emerging authority and disclosure                        12 CFR 555 OTS;
                                                 requirements for electronic banking. The Guidance and sections in the individual regulations                              12 CFR 7
                                                 provide info and requirements for institutions during the design, development, implementation                      subpart E OCC;
                                                 and monitoring of electronic banking operations. The guidance provides federally insured
                                                 institution with information on federal consumer protection laws and regulations, and their
                                                 application to electronic financial service operations. See also Interagency Guidance on
                                                 Electronic Financial Services and Consumer Compliance issued by FFIEC July, 1998 and
                                                 individual regulations.
GEN            Electronic Signatures in Global   Purpose is to give legal standing to documents having digital or electronic signatures, meaning   15 USC 7001 et   NA
               and National Commercial Act (E- a document in electronic form or one verified or "signed" with a digital signature satisfies most   seq.
               sign Act) enacted June 2000 eff.  legal requirements and is treated the same as one in writing.
               3/1/01
GEN            FASB Standards                    The Financial Accounting Standards Board (FASB) issues accounting standards for the               NA               NA
                                                 financial industry. When implemented, those standards became general accounting principals
                                                 (GAP). A number of FAS standards affect banking.
GEN            FDIC Improvement Act              Regulates bank safety and soundness standards relating to: internal controls, information and     12 USC 1811-     NA
                                                 internal audit systems, loan documentation, credit underwriting, interest-rate exposure, asset    1831t
                                                 growth, and compensation fees and benefits for insiders.
GEN            FIRREA - Financial Institution    Regulates the suspension, removal, and prohibition of institution-affiliated parties and the      12 USC 1821      NA
               Reform, Recovery and              penalties that can be assessed
               Enforcement Act
GEN            FTC Rules                         Addresses preservation of consumers claims and defense re: holder in due course, home             15 USC 45
                                                 solicitations, used car and other rules
GEN            Government Securities Act of      Banks must notify their banking regulators if they act as government securities brokers or        15 USC 78o-5     17 CFR 403.5(d);
               1986                              dealers, and the regulators are vested with examination and enforcement authority for                                   17 CFR 450
                                                 compliance with applicable requirements.
GEN            Identity Theft and Assumption     The Act makes it a federal crime when anyone knowingly transfers or uses, without lawful          18 USC 1001      NA
               Deterrence Act of 1998            authority, a means of identification of another person with the intent to commit any federal
                                                 unlawful activity.
GEN            IRS Tax Reporting/TEFRA           Tax reporting related to bank-related transactions such as mortgage interest reporting (1098),    1.6050 etc.
                                                 interest on deposit accounts (1099) backup withholding and others
GEN            Lost and Stolen Securities        Requirements related to lost or stolen securities. Also refer to Suspicious Activity Reporting                     17 CFR 240.17f-1
               Program                           requirements.
GEN            Prohibited Banking Activities -   National and state chartered banks as well as saving & loans are prohibited from participating    12 USC 25A     BC-137 OCC;
               Lottery, etc.                     in, underwriting or being otherwise involved in any way in a lottery. Refer to Federal Election   OCC; FDI ACT
                                                 Requirements which also impose restrictions on political contributions                            SEC 20; 12
                                                                                                                                                   USC 1461 OTS;
                                                                                                                                                   12 USC
                                                                                                                                                   1463(4)(e)
                                                                                                                                                   Home Owner’s
                                                                                                                                                   Loan Act; etc.




                                                                                                                                                                              6 of 11
      TYPE
      L = Lending, D = Deposits, Gen = General                Compiled by: Gail Askins Cole, Compliance Risk Management Consulting, LLC                                     July 2006
                                                                                   gailacole@bankcrmconsulting.com
      Intended for use as a helpful guide.                             BANKING TABLE OF LAWS AND
      Updated periodically and therefore may not be                CONSUMER PROTECTION LAW...AND MORE
      100% accurate or complete at any given point in time.

GEN            Retail Sale of Nondeposit             The objective of the guidelines contained in the interagency statement is to ensure that            15 USC 771;        OCC-BB-94-13;
               Investment Products (NDIP)            customers of depository institutions are clearly and fully informed of the nature of nondeposit     78a, 80a and 17    FDIC FIL 9-94; FRB
               Interagency Guidance                  investment products and the risks associated with investing in them. The guidelines apply to        CFR 240 rule 10-   SR 94-11;
                                                     sales of nondeposit investment products such as mutual funds and annuities, as well as stocks       5-b                Interagency policy
                                                     and other investment products that are not insured by the FDIC                                                         statement 2-15-84;
                                                                                                                                                                            Uniform guidelines
                                                                                                                                                                            OCC AL 93-11; 12
                                                                                                                                                                            CFR 9;
GEN            RFPA - Right to Financial Privacy     Precludes a bank from providing a customer's financial records to certain federal government    12 USC 3401; 5         12 CFR 261 FRB;
               Act of 1974                           authorities without customer consent unless government obtains subpoena or search warrant.      USC 552a                       12 CFR 503
                                                     Specifies when, and under what conditions, a financial institution may release customer                                OTS
                                                     financial records to a federal government authority, pursuant to customer authorization, a
                                                     search warrant, judicial subpoena or administrative subpoena or summons. Establishes a
                                                     notice and challenge procedure under which a customer is given 14 days from the date of
                                                     mailing or 10 days from the date of service to file an objection to the records request.
                                                     Articulates the requirements that must be met by a customer authorization in order for it to be
                                                     sufficient. Spells out numerous exceptions to the access restrictions, plus some instances,
                                                     such as federal grand jury subpoenas, where a financial institution may even be prohibited from
                                                     notifying its customer that his records have been sought or obtained

GEN            Safeguarding Customer                 Final Guidelines establishing standards for safeguarding customer information. Section 501 of       15 USC 6801-       12 CFR 568 & 570
               Information (GLB)                     the GLB Act requires the Agencies to establish appropriate standards for the financial              6809; Sections     OTS; 12 CFR
                                                     institutions subject to their respective jurisdictions relating to administrative, technical, and   501 and 505(b)     208,211,225 & 263
                                                     physical safeguards for customer records and information. As described in the Act, these            of the GLB Act     FRB; 12 CFR 308 &
                                                     safeguards are to: insure the security and confidentiality of customer records and information;                        364 FDIC; 12 CFR
                                                     protect against any anticipated threats or hazards to the security or integrity of such records;                       30 OCC
                                                     and protect against unauthorized access to or use of such records or information that could
                                                     result in substantial harm or inconvenience to any customer.

GEN            Sarbanes - Oxley Act of 2002          Thanks to corporate financial scandals which gave birth to this Act, additional financial
                                                     reporting burdens are imposed on banks that are publicly held and their subsidiaries. The
                                                     burdens involve audit committee roles and independence, top officer certifications of financials,
                                                     insider restrictions and loans, internal controls, insider trading, codes of ethics, etc.

GEN            Suspicious Activity Reports (BSA) banks are required to report known or suspected criminal offenses, at specified thresholds, or          31 USC             12 CFR 353 FDIC;
                                                 transactions over $5,000 that they suspect involve money laundering or violate the Bank                 5318(g)(3)         12 CFR 208.20
                                                 Secrecy Act. Banks have 30 calendar days to file a SAR after becoming aware of any                                         FRB; 12 CFR 21.11
                                                 suspicious transaction that is required to be reported.                                                                    subpart C OCC; 31
                                                                                                                                                                            CFR 103.18 DOT;
                                                                                                                                                                            12 CFR 563.180
                                                                                                                                                                            OTS
GEN            Telemarketing and Consumer            Defines and prohibits deceptive telemarketing acts or practices; prohibits telemarketers from       15 USC 6101        16 CFR 310
               Fraud and Abuse Prevention Act        engaging in a pattern of certain unsolicited telephone calls, restricts hours when unsolicited
                                                     telephone calls may e made to consumers and requires certain disclosures at the beginning of
                                                     the unsolicited call. Banks are exempt; however the exemption does not extend to subsidiaries
                                                     or affiliates of exempt entities or to a third party that provides telemarketing services for or on
                                                     behalf of an exempt institution.
                                                                                                                                                                                      7 of 11
      TYPE
      L = Lending, D = Deposits, Gen = General                 Compiled by: Gail Askins Cole, Compliance Risk Management Consulting, LLC                                           July 2006
                                                                                    gailacole@bankcrmconsulting.com
      Intended for use as a helpful guide.                             BANKING TABLE OF LAWS AND
      Updated periodically and therefore may not be                CONSUMER PROTECTION LAW...AND MORE
      100% accurate or complete at any given point in time.

GEN            UCC - Uniform Commercial Code The Uniform Commercial Code (UCC) is a set of standardized state laws governing financial                             See individual
               (SC has adopted its own versions contracts. The code makes it easier for lenders to extend credit secured by personal property                      Articles elsewhere in
               of various Articles of the UCC)  and it also clears up some ambiguities and differences in state laws. The UCC was adopted in                       this chart.
                                                1950 by most states and the District of Columbia. The UCC is organized into articles. A set of
                                                laws adopted by states to govern commercial transactions of various types. It includes Articles
                                                1 through 9, plus 2A and 4A. Each article addresses a separate subject matter. Article 4, for
                                                example, deals with bank deposits and collections, while Article 9 provides guidance on
                                                secured transactions. The Articles are identified elsewhere in this table.

 L             Appraisal Standards (section XI       Governs appraisal standards, appraisal content, threshold for requiring appraisals. One of the 12 USC 349-    12 CFR 34 subpart
               of FIRREA)                            major changes in banking practices under FIRREA was the regulation of appraisals on real          3350        C OCC; 12 CFR 323
                                                     estate loans. Overvalued real estate pledged as collateral on loans contributed to loan losses in             , 365 FDIC;
                                                     many banks during the 1980s, and the federal government believed that the lack of standard                           12 CFR 225,
                                                     appraisal requirements was a factor in these losses. Therefore, FIRREA requires that                          Subpart G FRB; 12
                                                     appraisals be up-to-date, be performed by a certified or licensed appraiser (depending on the                 CFR 208 subpart E
                                                     size and complexity of the loan), and conform to the Uniform Standards of Professional                        and appendix C
                                                     Appraisal Practice. Banks also must be more cognizant of the appraiser's competence.                          FRB; 12 CFR 545,
                                                                                                                                                                   563, 560, 564 OTS

 L     UCC     Article 5: Letters of Credit
 L     UCC     Article 7: Warehouse Receipts
               and Other Documents of Title
 L     UCC     Article 9: Secured Transactions;      Article 9 governs transactions involving the granting of credit secured by personal property and
               Sales of Accounts and Chattel         the sale of accounts and chattel paper. Revised Article 9 contains a number of new rules for
               Paper                                 secured transactions that affect a financial institution's procedures, systems, documentation,
                                                     and the enforceability of security interests. Further, the scope of Revised Article 9 has been
                                                     expanded to cover new types of collateral and new types of transactions. Revised Article 9
                                                     affects loan documentation and filing of security interests at origination and renewal, required
                                                     notifications to debtors and creditors, and the identification of the interests of other creditors.

 L             Bankruptcy Act                        Bankruptcy law provides for the development of a plan that allows a debtor, who is unable to    11 USC 101    28 CFR 58
                                                     pay his creditors, to resolve his debts through the division of his assets among his creditors. et.seq..
                                                     This supervised division also allows the interests of all creditors to be treated with some
                                                     measure of equality. Certain bankruptcy proceedings allow a debtor to stay in business and use
                                                     revenue generated to resolve his or her debts. An additional purpose of bankruptcy law is to
                                                     allow certain debtors to free themselves (to be discharged) of the financial obligations they
                                                     have accumulated, after their assets are distributed, even if their debts have not been paid in
                                                     full.
 L             Comprehensive Environment             Regulates environmental-hazard liability when underwriting a loan                               12 USC 42,    NA
               Response, Compensation and                                                                                                            CHAPTER 103
               Liability Act (CERCLA)




                                                                                                                                                                               8 of 11
      TYPE
      L = Lending, D = Deposits, Gen = General                  Compiled by: Gail Askins Cole, Compliance Risk Management Consulting, LLC                                   July 2006
                                                                                     gailacole@bankcrmconsulting.com
    Intended for use as a helpful guide.                             BANKING TABLE OF LAWS AND
    Updated periodically and therefore may not be                CONSUMER PROTECTION LAW...AND MORE
    100% accurate or complete at any given point in time.

L            CRA - Community Reinvestment          Encourages banks to help meet the credit needs of their communities. The CRA was enacted            12 USC 2901;            12 CFR 25 OCC;
             Act                                   in 1977 to affirm that financial institutions have the obligation to help meet the credit needs of  12 USC 1831p                    12 CFR 228
                                                   their entire communities, including low- and moderate-income neighborhoods. Further, the                                    FRB;          12
                                                   Financial Institutions Reform, Recovery and Enforcement Act of 1989 amended the CRA to                                      CFR 345 FDIC;
                                                   make a bank's CRA rating public and to require banks to make a portion of their CRA                                               12 CFR 563e
                                                   examinations, the CRA Public Evaluation, available to the general public. In May 1995,                                      OTS; Interagency Q
                                                   regulators adopted new CRA regulations that focus more on performance. Parts of the                                         & A Re: CRA 5/3/99
                                                   regulations went into effect on Jan. 1, 1996, with the transition period extending to July 1, 1997.

L            Credit Life Insurance              The purpose of this part is to set forth the principles and standards that apply to a national     12 USC 24, 92a, 12 CFR 2 OCC
                                                bank's provision of credit life insurance and the limitations that apply to the receipt of income  1818(n)
                                                from those sales by certain individuals and entities associated with the bank. This part applies
                                                to the provision of credit life insurance by any national bank employee, officer, director, or
                                                principal shareholder, and certain entities in which such persons own an interest of more than
                                                ten percent.
L            Fair Debt Collection Practices Act Under this Act (Title VIII of the Consumer Credit Protection Act), third-party debt collectors are 15 USC 1692     NA
                                                prohibited from employing deceptive or abusive conduct in the collection of consumer debts
                                                incurred for personal, family, or household purposes. Such collectors may not, for example,
                                                contact debtors at odd hours, subject them to repeated telephone calls, threaten legal action
                                                that is not actually contemplated, or reveal to other persons the existence of debts. Applies only
                                                to people attempting to collect debts owed to a third party. Does not apply to a bank collecting
                                                its own debts under its own name. (Does apply if using other name.)

L            FHA - Fair Housing Act of 1968        Prohibits credit discrimination in real estate mortgage or home improvement loans for reasons            Title VIII of 42   24 CFR 100 HUD;
                                                   of race, color, religion, national origin or sex. Lenders can be found in violation of the act if they   USC 3601-05                   12 CFR
                                                   practice redlining, racial coding, or discriminatory neighborhood analysis or if they use                                   338 FDIC;      12
                                                   discriminatory appraisal standards.                                                                                         CFR 528 OTS
L            Flood Disaster Protection Act of      The Flood Disaster Protection Act established a process the federal and local governments to             42 USC 4001-       12 CFR 22 OCC;
             1973                                  identify flood prone areas and provide flood hazard insurance for properties located in those            4129                     12 CFR
                                                   areas. Lenders are required to determine, before making a loan, whether the property is                                     208.25 FRB;
                                                   located in a flood zone and notify the applicant of any need to purchase flood insurance. The                                       12 CFR 339
                                                   lender also must ensure that flood insurance is maintained during the life of the loan.                                     FDIC;
                                                   Amendments to the Act require the use of a standard form to document the flood zone search                                  12 CFR 572 OTS ;
                                                   and impose penalties for non-compliance. In addition, FNMA and FHLMC may not purchase a                                     44 CFR part 59-77
                                                   loan that does not contain proper flood hazard certification documentation. Requires flood                                  NFIP
                                                   insurance for mortgage loans if secured property is in a flood hazard area in a "participating"
                                                   community. If in a "nonparticipating" community, lender must advise customer that property is
                                                   in a flood area.

L            Home Ownership and Equity             The law was enacted in response to allegations abusive lending practices in the home-equity              15 USC 1639        12 CFR 226.32 FRB
             Protection Act of 1994 (HOEPA)        lending market. It imposes additional disclosure requirements and substantive limitations on
                                                   loans bearing rates and fees above a certain percentage or amount. The Act is implemented
                                                   through the Truth In Lending Act Section 32.
L            Homeowners Protection Act of          The law sets the rules for cancellation of private mortgage insurance ("PMI") on loans secured           12 USC 4901 et     NA
             1998 ("HOPA")                         by a borrower's principal residence. It applies to loans that closed on or after July 29, 1999 and       seq.
                                                   requires an annual disclosure which applies to loans made prior to that date.

                                                                                                                                                                                         9 of 11
    TYPE
    L = Lending, D = Deposits, Gen = General                  Compiled by: Gail Askins Cole, Compliance Risk Management Consulting, LLC                                               July 2006
                                                                                   gailacole@bankcrmconsulting.com
    Intended for use as a helpful guide.                             BANKING TABLE OF LAWS AND
    Updated periodically and therefore may not be                CONSUMER PROTECTION LAW...AND MORE
    100% accurate or complete at any given point in time.

L            Homeownership Counseling              Provides to homeownership counseling notification by creditors to eligible homeowners. The      106(c)(5) of       NA
             Procedures                            Act has been amended at various times with the most recent on November 2001 when the            HUD
                                                   Appropriations Act of 2002 (P.L. 107-23) was enacted. Section 205 of that Act repealed the      Development
                                                   previous sunset provision, making the requirements permanent.                                   Act of 1968 (12
                                                                                                                                                   USC
                                                                                                                                                   1701x(c)(5))
L            Interagency Policy Statement -        The policy statement directs regulatory agencies to require "adjustments" (monetary             DIDC Act of        Interagency Policy
             Restitution under the Truth In        reimbursement) to consumers for understatements of APR and FC where such                        1980               Statement effective
             Lending Act.                          understatements are identified by the regulator and where the understatement results from a                        3/31/80.
                                                   clear and consistent pattern or practice of violations, gross neglect or a willful violation.

L            Interest Charged Usury (State         Sets maximum interest rates that can be assessed on specific types of loans. Also defines        12 USC 85, 86a    12 CFR 590.4 OCC;
             established)                          which fees can be assessed for various types of loans                                            OCC; 12 USC        12 CFR 7.4001
                                                                                                                                                    1735f-7 & 7a;     OCC
                                                                                                                                                    varies by state
                                                                                                                                                    law
L            Interstate Land Sales Disclosure      The Interstate Land Sales program protects consumers from fraud and abuse in the sale or         15 USC 1701-      24 CFR 1710+F67
             Act                                   lease of land. In 1968 Congress enacted the Interstate Land Sales Full Disclosure Act, which is 1720
                                                   patterned after the Securities Law of 1933 and requires land developers to register subdivisions
                                                   of 100 or more non-exempt lots with HUD and to provide each purchaser with a disclosure
                                                   document called a Property Report. The Property Report contains relevant information about
                                                   the subdivision and must be delivered to each purchaser before the signing of the contract or
                                                   agreement.
L            Legal Lending Limits                  Limitations on the total amount a bank can lend to any one borrower                              State law; 12     12 CFR 32 OCC;
                                                                                                                                                    USC 1462; 12          12 CFR 23.5
                                                                                                                                                    USC 3806          FDIC;
                                                                                                                                                                           12 CFR 560.93
                                                                                                                                                                      OTS
L            Loans or gratuity to bank             Prohibits a bank from making a loan or giving a gratuity to any examiner who has authority to    18 USC 212        NA
             examiners                             examine such bank.
L            Mortgage Servicers - HUD              HUD issues mortgagee letters under this section to provide guidance and requirements                             24 CFR 203 et seq.
             Requirements                          regarding loan servicing to single family servicers.
L            Mortgages - Usury Preemption          Under this regulation, state usury laws are preempted and made inapplicable to federally         12 USC 1735f-7 12 CFR 590 OTS
                                                   related loans secured by residential property. The bank inquires whether the lending activities
                                                   of the trust department as a whole should be evaluated or whether the lending activities of each
                                                   individual trust should be considered separately to determine this regulation’s application.
                                                   Based upon our reading of the regulation, each trust’s loans must be considered separately to
                                                   determine whether they are subject to 12 CFR 590.
L            OCC's FHA Loan Data System            Data collection requirement for national banks and their subsidiaries which make home loans                     12 CFR 27 OCC
             (FHHLDS)                              for the purpose of purchasing, construction- permanent financing or refinancing of residential
                                                   real property. This is in addition to similar data collection requirements of Reg C (HMDA).
                                                   National banks subject to the reporting requirements of the Home Mortgage Disclosure Act
                                                   (HMDA) do not have to report home mortgage information under the FHHLDS, but must report
                                                   "reason for denials." Effective June 20, 1994 Per the OCC 94-36 national banks subject to
                                                   HMDA do not have to maintain the data log system. Such banks not subject to HMDA can
                                                   either maintain log system or report under HMDA anyway.

                                                                                                                                                                                10 of 11
    TYPE
    L = Lending, D = Deposits, Gen = General                 Compiled by: Gail Askins Cole, Compliance Risk Management Consulting, LLC                                        July 2006
                                                                                  gailacole@bankcrmconsulting.com
      Intended for use as a helpful guide.                             BANKING TABLE OF LAWS AND
      Updated periodically and therefore may not be                CONSUMER PROTECTION LAW...AND MORE
      100% accurate or complete at any given point in time.

 L             Real Estate Lending Standards         The Bank’s Board of Directors is required to adopt and maintain written policies that establish      12 USC 371     12 CFR 34 OCC;
                                                     limits and standards for credit secured by interests in or for the purpose of making                 OCC; 12 USC           12 CFR 365
                                                     improvements to real estate. The policies would take into account standards for safety and           1828(o)        FDIC;
                                                     soundness, and the size and capability of the bank and its market. The policies should provide                      12 CFR 208 subpart
                                                     guidance or set standards for portfolio diversification, prudent underwriting, loan administration                  C FRB;
                                                     procedures, and appropriate documentation and reporting for compliance. The policies should                               12 CFR 365
                                                     be regularly reviewed, and the real estate portfolio regularly monitored.                                           OTS

 L             Records to be Made and Retained A record of each extension of credit in an amount in excess of $10,000, except an extension of             Bank Secrecy   31 CFR 103.33
               by Financial Institutions (BSA)  credit secured by an interest in real property, which record shall contain the name, address of           Act
                                                the person to whom the extension of credit is made, the amount thereof, the nature or purpose
                                                thereof, and the date thereof
 L             Residential Lead Based Paint     Title X of the Act requires sellers requires sellers, landlords and agents to warn homebuyers             42 USC 4852d   NA
               Hazard Reduction Act of 1992 -   and tenants of lead-based paint and lead-based paint hazards in pre-1978 housing. Sellers
               Regulations issued 3/6/96        include banks who foreclose or accept deeds in lieu of foreclosure on certain housing
                                                properties that thy subsequently lease and/or sell as OREO.
 L             Servicemembers Civil Relief Act  Under the provision of the act, individuals on full-time active duty in the U.S. armed forces are         50 USC 501     NA
               of 2003 (On December 19, 2003,   awarded certain protection during their active duty. They may qualify for a maximum rate of six
               the Soldier’s and Sailor’s Civil percent (6%) on loans made prior to the start of the individual's active military service.
               Relief Act of 1940 (SSCRA) was   Restricts lender ability to foreclose, issue default judgments, etc. while the servicemember is on
               replaced by the Servicemembers active duty. Provides for reduced interest rate on mortgage payments, credit card debt.
               Civil Relief Act (SCRA))

 L             Truth in Lending Class Action       The purpose of this Act, which amended section 130 of the TILA, was to provide a moratorium            15 USC 1640
               Relief Act of 1995                  on certain class action lawsuits relating to the TILA relating to closed end first lien RE or
                                                   dwelling transactions not subject to rescission.
L&D            Customer Identification Programs Requires each bank to implement a written CIP appropriate for its size and type of business              HR 3162 an Act 31 CFR 103.121
               (CIP) eff. 10/1/03 (implements part that includes certain minimum requirements. The CIP must be incorporated into the ban's anti-         effective
               326 of Patriot Act).                money-laundering compliance program, subject to approval of the bank's board of directors.            10/24/01
                                                                                                                                                         (contains over
                                                                                                                                                         15 statutes)
L&D            Fair Credit and Charge Card           This Act, amending the Truth in Lending Act, requires credit and charge card issuers to provide 15 USC 2637(c)- 12 CFR 226
               Disclosure Act                        certain disclosures in direct mail, telephone and other applications and solicitations to open-end (g)
                                                     credit and charge accounts and under other circumstances.
L&D            FCRA - Fair Credit Reporting Act      Regulates consumer-credit reporting industry to promote more accurate reporting of credit           15 USC 1681    16 CFR 600 FTC;
                                                     information. If a bank denies credit (even partially), deposit services or employment based upon                          12 CFR 571
                                                     a credit report, it must advise the person that information in the report contributed to the denial                OTS
                                                     (give name and address of the credit reporting agency.)
L&D            Patriot Act of 2001                   Provides law enforcement with enhanced tools to fight terrorism and organized crime. Requires HR 3162 an Act 12 CFR 21 OCC; 12
                                                     formal procedures for identifying customers, mandatory "sharing" of information with the            effective      CFR 208 & 211
                                                     government to help locate suspected terrorists, enhanced scrutiny and documentation for             10/24/01       FRB; 12 CFR 326
                                                     foreign bank correspondent accounts and for international private banking relationships, and        (contains over FDIC; 12 CFR 563
                                                     strengthened anti-money laundering procedures.                                                      15 statutes)   OTS




                                                                                                                                                                                  11 of 11
      TYPE
      L = Lending, D = Deposits, Gen = General                 Compiled by: Gail Askins Cole, Compliance Risk Management Consulting, LLC                                        July 2006
                                                                                    gailacole@bankcrmconsulting.com

								
To top